Kathmandu: Life returned to normal in Nepal on Sunday at the end of a two-day nationwide public transport strike, as the agitating transport associations and the government reached a 14-point deal incorpotrating provisions like formation of a separate ministry for the sector.

After the talks held on Saturday at the Ministry of Physical Planning, Works and Transport Management (MoPPW) with the agitating transport entrepreneurs, the government agreed to look into most of their demands, after which the transport associations agreed to resume their services from Sunday.

There were no taxis, three-wheelers, micro-bus, mini-bus and public buses on the roads for the two days, Friday and on Sunday causing inconveniences to the general public.

"We have formed a taskforce to devise a framework on the authority of the traffic police and fines to be set for the motorists who violate traffic rules," Tulsi Prasad Sitaula, secretary at the Ministry of Transport said.

The transporters had demanded that the government revoke the authority given to the traffic police to fine the motorists.

The government had earlier decided that the traffic police could slap fines ranging from Rs 200 to Rs 1,000 to drivers violating rules and claim 15 per cent of the fines as a reward.

Following Saturday's agreement, traffic police will not be entitled to such incentives now.

"We have withdrawn our strike after the government agreed to address most of our demands," Ajay Kumar Rai, chairperson of Nepal Yatayat Workers' Association said.

"We hope that this deal will put an end to the hassles faced by the transporters from the traffic police," he said.

The government has agreed to form a new ministry to look after the transport sector within a month and committed to unveiling a policy for providing social security to transport labourers as per the deal.